USDA Reports Send Grains, Soybeans Diving

Wheat futures tumbled to six-month lows and corn and soybeans also plummeted Friday in early dealings on the Chicago Board of Trade, responding to unexpectedly bearish government reports.

Wheat prices sank after the Department of Agriculture signaled that U.S. supply levels are much higher than previously thought. The department raised its estimate for year-ending 2002-03 stocks by 70 million bushels and put Dec. 1 wheat stocks significantly above industry estimates.

Wheat's decline was nearly 3 percent, and both corn and soybeans slightly exceeded that mark.

The government's crop reports for corn disclosed a sharper-than-expected decline in feed use.

Soybeans dipped to their lowest prices since Dec. 18 after the government pegged U.S. soybean production as higher than in previous estimates.